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Consumers heading back to showrooms

May 12, 2014

It was a solid April in terms of sales for most of the world's major auto manufacturers. Zacks, an investment research firm focusing on stock research, analysis and recommendations, reported that a major demand for trucks and high incentives from different brands are helping push consumers to showrooms after a lethargic winter.

Industry experts said that the demand for trucks has been boosted by the nation's recovering housing and energy sectors. Auto sales during April increased 8 percent from the same month a year prior, jumping to 1.39 million units sold.

Consumers are finally headed back to showrooms after a slow winter.

Sales on a seasonally adjusted annualized rate (SAAR) basis increased to 16.1 million in April from the year-ago level of 15.2 million units, with General Motors, Toyota, Chrysler and Nissan posting higher sales totals. Zacks reported that Nissan paced the field for the year-over-year sales growth rate, while General Motors distributed the highest sales volume.

Kurt McNeil, the U.S. vice president of sales operations at GM, said that he expects sales to continue to rise as the economy improves.

“Retail demand was steady in April, and truck sales and transaction prices were especially strong,” McNeil said. “As we expected, the economy continues to strengthen.”

What's good for GM?

General Motors, the largest of the three major American automakers, recorded a 6.9 percent increase in its April sales total, according to Fox Business, which stated GM had the best sales total because of high consumer demand for the company's new pickup trucks.

GM topped estimates from both Kelley Blue Book and Edmunds when it sold 254,076 new vehicles last month. Under the GM umbrella, GMC sales increased 13 percent, Buick sales went up 12 percent, Chevrolet sales climbed 5.3 percent and Cadillac saw a 5.1 percent rise in April.

Jack Nerad, executive editorial director and senior analyst for Kelley Blue Book, told Fox Business that American automakers have made major progress in improving their automotive portfolios. That should help spur a new flood of car buyers, which would help the car and insurance sectors.

Any consumer currently mulling over a new car purchase should look into the insurance information provided by SelectQuote Auto & Home. With SelectQuote, a car owner looking for an insurance policy can rest easy knowing that

*Average customer savings based on an average of new SelectQuote Auto & Home Insurance
policyholders between 7/1/2016 and 6/30/2017. Individual savings may vary, and are not guaranteed.
Coverages and discounts subject to state availability and individual eligibility. Savings do not
apply in the state of Massachusetts.

SelectQuote Auto & Home Insurance Services offers insurance products and services through its
licensed insurance agency, SelectQuote Auto & Home Insurance Services, LLC. SelectQuote Auto &
Home Insurance Services is not an insurance company. We represent top-rated insurance companies,
and receive commissions, and possibly other performance-based compensation, for our services.
Products and services are not available in all states.